Suppose that a speculator notes that the current three-months forward rate on the euro is
$1.36 and the speculator expects that, in three months, the euro will have a value of
$1.40. In this situation, the speculator would ________ euros on the forward market,
and this activity ________ for the speculator.
4) _______
A) sell; involves no possible risk B) buy; involves risk
C) buy; involves no possible risk D) sell; involves risk